NTPC scraps Rs 350-crore coal import tender

NEW DELHI: State-run NTPC has scrapped a tender of about Rs 350 crore to import 5 million tonnes coal for which at least three companies including MMTC and Adani Enterprises were in fray.

It has scrapped the tender after receiving higher-than-expected bids and is likely to issue small tenders when required, sources said. NTPC had invited bids on June 15 for supply of 0.9 million tonnes imported coal for its Simhadri and Ramagundam projects in Andhra Pradesh. A senior company official said the company may issue such separate tenders in next few months.

In April, it had floated a tender for importing 5 million tonnes coal for its 14 stations including Talcher Thermal, Talcher Kaniha Power Plants, Farakka, Kahalgaon, Dadri, Rihand, Singrauli, Tanda, Unchahar and Vidhyachal Power Plant.

NTPC, the country's largest power producer, plans to increase coal imports to 16 million tonnes this fiscal due to local shortage.

The company imported over 12 million tonnes last financial year. NTPC meets about 15% of its needs through imported coal and most of its 38,000-mw power capacity is coal-based. Shortage in domestic fuel supply and distribution companies' inability to purchase power has been affecting NTPC's productivity.

The company has 15 coal-based, seven gas-based and six joint venture power stations and plans to be a 128,000-mw entity by 2032.

NTPC expects this year's coal requirements to go up by about 15.5% to 164 million tonnes as it targets an addition of 4000-mw of fresh capacity, compared with an addition of 2800-mw last year.